Entergy Arkansas, Inc. 2014 Large Commercial & Industrial Program Manual

Entergy Arkansas, Inc.
2014 Large Commercial & Industrial Program Manual
PREPARED BY:
CLEAResult
1 Allied Dr.
Suite 1600
Little Rock, AR 72202
Contact: Robert Davenport
Phone: 501-221-4015
Email:rdavenport@clearesult.com
Revision Date: 01/24/2014
Entergy Arkansas, Inc.
2014 Large Commercial & Industrial Program Manual
Table of Contents
PROGRAM OVERVIEW .......................................................................................................................................... 1
Program Description .........................................................................................................................................1
Program Objectives ...........................................................................................................................................1
Program Contacts and Roles.............................................................................................................................. 2
Program Changes ............................................................................................................................................. 4
PROGRAM ELIGIBILITY ........................................................................................................................................ 5
Participant Eligibility ....................................................................................................................................... 5
Trade Ally Participation and Eligibility ............................................................................................................... 5
PROGRAM INCENTIVES ......................................................................................................................................... 7
Measures & Incentive Levels ............................................................................................................................. 7
Project Example ............................................................................................................................................... 9
Co-Funding of Feasibility Studies..................................................................................................................... 10
Measure List................................................................................................................................................... 11
Incentive Basis ............................................................................................................................................... 13
Non-Cash Benefits Offered Under the Program .................................................................................................. 13
PARTICIPATION PROCESS .................................................................................................................................... 15
Project Requirements and Constraints .............................................................................................................. 15
Incentive Reservation/Application Process........................................................................................................ 15
Incentive Payment Process .............................................................................................................................. 16
Limits on Participation .................................................................................................................................... 16
Independent Evaluation .................................................................................................................................. 17
QUALITY MANAGEMENT SYSTEM........................................................................................................................... 18
ADDITIONAL NOTICES AND DISCLAIMERS ............................................................................................................... 19
DEFINITIONS .................................................................................................................................................... 20
FREQUENTLY ASKED QUESTIONS (FAQS) ................................................................................................................ 22
APPENDICES .................................................................................................................................................... 24
Appendix A: Participation Agreement ................................................................................................................25
Appendix B: Project Application ...................................................................................................................... 26
Appendix C: Trade Ally Agreement .................................................................................................................... 27
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PROGRAM OVERVIEW
Program Description
Entergy Arkansas, Inc. (EAI) offers a Large Commercial and Industrial (C&I )Program to its qualifying customers. The
program is designed to help customers who supervise industrial or commercial facilities to operate their buildings more
efficiently by deepening their understanding of the technical and financial benefits energy efficiency investments. The
program also helps these customers plan energy efficiency
improvements for their facilities. Customers who enroll in the
Program Benefits Include:
program (participants) may also receive technical and energy-related
assistance to help them make decisions about cost-effective energy
efficiency investments.
 Free technical advice that will help
Participants who complete qualifying energy efficiency projects are
eligible for financial incentives. If the participant completes one or
more projects that meet the threshold requirements discussed herein,
he or she may receive additional program benefits including energy
benchmarking, technical assistance and communications support.
participants evaluate cost-effective
energy efficiency projects
 Cash incentives for completed
projects
In general, the program does not prescribe technologies or end-uses;
instead, it provides a framework through which the participant can
receive incentives for implementing and installing a wide range of
measures at his or her site.
To get started, please call the Energy
Efficiency Solutions Center (ESSC) at
1-877-212-2420
Program Objectives
EAI’s Large C&I Program is designed to educate the commercial and industrial marketplace about cost-effective energy
efficiency measures and promote the implementation of such measures while minimizing barriers to energy
efficiency. Some program objectives are inherent to transforming the energy efficiency market while others are direct
benefits that participants receive.
The Large C&I Program is designed to:

Make energy efficiency a primary consideration for EAI’s commercial and industrial customers by transforming
the energy efficiency market through training, education and program implementation.

Overcome market barriers to the implementation of energy efficiency projects.

Enhance awareness of program benefits such as energy efficiency financing alternatives and energy efficiency
project payback.

Address the budget constraints and high up-front costs that typically lead EAI’s commercial and industrial
customers to rule out energy efficient technologies.

Enhance awareness of energy efficient technologies, energy efficiency calculation tools, and measurement and
verification strategies.

Provide participants with technical assistance in order to address energy efficiency at all major utility end-uses
and avoid lost opportunities where reasonable.

Promote cost effective energy efficiency projects that maximize net benefits to both the participant and EAI.

Accumulate a list of qualified vendors and installers (trade allies) who have chosen to participate in the program,
and ensure that participants can access this list.
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
Provide evaluation, measurement and verification (EM&V) resources who can adequately support the
implementation of energy efficiency projects.

Help EAI meet its annual energy savings goals by assisting qualified EAI customers with the identification and
implementation of cost-effective energy efficiency measures.

Leverage cash incentives to help participants implement cost-effective projects.

Streamline project delivery by providing participants with flexibility in how they receive or assign incentives
(e.g., participants can assign incentives to third parties in order to offset costs; they can also split incentives for
lease/lessor arrangements).
Program Contacts and Roles
Program Sponsor
Entergy Arkansas, Inc.
Contact:
Gabe Munoz
Email: gmunoz@entergy.com
Website: http://www.entergyarkansas.com/commercial
The program sponsor:

Provides all funding for the energy efficiency program and the program incentives.

Manages the energy efficiency programs and oversees implementation.
Program Implementer
CLEAResult
Contact:
Robert Davenport
Phone: 501-221-4015
Email: rdavenport@clearesult.com
The program implementer:

Performs outreach and education about the energy efficiency program.

Provides energy efficiency assistance to program participants (at no cost).

Assists program participants and trade allies with program documentation.

Performs required on-site inspections and documentation.

Calculates energy savings potential for identified projects.

Assists in evaluation of financial metrics for energy efficiency projects (payback, ROI, etc.).

Processes and delivers incentive checks.
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Program Evaluator
Cadmus
The program evaluator:

Oversees program implementation to verify that savings claimed by program staff are correct, valid and
adequately documented.

May perform post-retrofit on-site inspections, measurements, or phone conversations to collect data for
program savings verification.

Provides updates to program calculation methodologies through annual TRM (Technical Resource Manual)
updates.

Surveys program participants to determine if program implementation is meeting their needs and expectations.

Surveys EAI customers to determine if program outreach is adequately informing the market of the energy
efficiency program opportunities.
Program Participant
To participate in the program, qualified EAI customers must:

Execute the participation agreement.

Contact the program implementer to schedule a facility assessment.

Submit a project application to reserve incentives for qualifying energy efficiency projects.

Exert best efforts to approve, fund, install and report projects by the time communicated to the program
implementation staff (typically within the same program year).

Contact the program implementer when projects are completed and allow staff to perform a post-inspection.

Provide facility supervisors with access to program implementation staff (as well as quality assurance/quality
control evaluator staff) both before and after project completion; these staff members will conduct inspection of
the baseline and post-retrofit condition as required.
Trade Ally
To participate in the program, trade allies must:

Execute the trade ally agreement.

Complete required training(s) and adhere to the program guidelines set out in this manual.

Provide verification of adequate insurance coverage.

Work with program implementation staff to take advantage of program marketing materials and technical
assistance.

When developing a possible energy efficiency project, work with program implementation staff to verify
customer eligibility and define the scope for the project.

Provide program staff with information about proposed projects as needed so that program staff can calculate the
potential energy savings and incentives that the participant would receive.
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2014 Large Commercial & Industrial Program Manual

Review the pre-inspection data and confirm that the program implementer included the correct scope for the
proposed project.

Install eligible energy efficiency measures and submit appropriate documentation as requested by the program
implementer.

Perform all work according to the required standards of the program.
Program Changes
The C&I Custom and Prescriptive Programs have been combined to provide a single program that meets the needs of EAI’s
commercial customers. The new program, the Large Commercial and Industrial Program (Large C&I), should eliminate
confusion for both participants and trade allies. The program incentive rates from the 2013 Large C&I Custom program are
being used for the 2014 Large C&I Program. This means that incentive rates have not changed, but that tiered incentives
will now be available for projects that include only prescriptive measures. To learn more about the incentive rates offered
under this program, please see the “program incentives” section of this document.
The tiered incentive structure will be available to participants who plan to complete projects that will span beyond a single
program year or who have received incentives from this program for one or more projects that were completed in 2012 or
2013. This will give past participants an incentive bonus for continuing to install program-qualified measures. This was
previously designed to give credit for projects installed as long ago as 2010, but will continue to roll forward as the
program progress. Feasibility study funding is still offered for custom measures. See the “Co-Funding of Feasibility
Studies” section of this document for more information.
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PROGRAM ELIGIBILITY
Participant Eligibility
Any large commercial or industrial customer who purchases retail electric service from EAI can participate in the Large C&I
Program. However, the following two commercial programs target specific market sectors, and participants are encouraged
to take part in these programs when they are eligible.

The CitySmart program targets municipalities, schools, cities, higher education facilities and other publicly
funded institutions except for state and federal facilities. Participants eligible for CitySmart should take part in
this program, which is designed to address specific market needs.

The Small Business program targets EAI customers with a connected peak demand of less than 100 kW. This
program offers higher incentives for most energy efficiency projects to assist these smaller businesses in
implementing projects with limited cash flow.
For the purposes of this program, a customer is defined by a single Tax ID number. Organizations with multiple locations
are thereby considered a single customer, regardless of how many EAI account numbers they may have.
Trade Ally Participation and Eligibility
Trade Allies are members of various trades who meet the qualifications and standards listed below. Trade Allies will have
their entity name included in a list of eligible trade allies that may be given to participants and may continue to work with
the program as long as they maintain compliance with all requirements.
To participate, trade allies must sign a trade ally agreement and receive training as required by the program guidelines.
Additional training will be provided as needed to ensure the proficiency of the trade ally. The level of trade ally
participation (i.e., number and type of completed projects in which the trade ally has been involved) may be included on
the trade ally list for the participants to consider when selecting appropriate trade allies for their projects. Details about
training, tools and performance are listed below.
Technical Requirements for the Trade Ally

An understanding of basic building science principles.

Completion of program-required best practices training(s).
Business Requirements for the Trade Ally
Trade allies must demonstrate the capability to conduct business successfully by providing ONE of the following:

A Satisfactory Dun and Bradstreet Rating.

Specific evidence of business capacity, including at least two of the following:
o A satisfactory banking reference.
o A minimum of three satisfactory professional/trade references, such as suppliers of materials, tools or
credit.
o Confirmation that the principals in the business have a satisfactory individual credit score with no
outstanding liens or judgments.
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Tools Required for Trade Ally

Participating trade allies own, use and maintain all tools required in order to install materials according to
manufacturer specifications.
Quality Performance Requirements for Trade Ally

The trade ally, upon request from the program implementer and at no additional cost to the participant, shall
make reasonable repairs or corrections to work that the trade ally has performed to bring such work up to the
program standards. The repairs or corrections are to be completed within the timeframe specified by the program
implementer. The trade ally also agrees to take steps to ensure that future work will comply with program
standards.
Trade Ally Documentation Confidentiality
Trade allies should note that this program is in place to drive energy efficiency in the EAI service territory. Any program
documentation collected for a proposed project within the EAI programs will be treated with care and will not be shared
with anyone except the participant for whom it was developed. All information submitted is considered the property of the
program participant, and will be shared with that customer upon request unless that documentation is clearly and
obviously labeled as confidential on each page of the documentation. All confidential information so labeled will be
verified with the provider prior to sharing with the program participant.
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PROGRAM INCENTIVES
Measures & Incentive Levels
A measure, for the purposes of calculating incentives, is considered to be a single proposed energy efficiency
improvement, at either a single facility or multiple facilities. A project is considered to be a planned set of measures for a
single participant (at either a single facility or multiple facilities) as listed on the project application. Both new
construction and retrofit projects are eligible for incentives under this program.
There is no minimum energy savings amount to qualify a project for incentives under this program. However, in order to
receive certain non-cash benefits and assistance from the program, a project must have a total annual energy savings that
meets or exceeds 10,000 kWh. Projects below the annual savings threshold of 10,000 kWh may be submitted, but the
program implementer may request that the participant assist the implementation staff by providing photos or other
documentation of existing (or post-retrofit) conditions for some sites on a case-by-case basis.
All measures must be submitted to the program or identified in a facility assessment and are subject to pre-inspection to
qualify for incentives. The energy efficiency measures must meet the following requirements:

Must result in a measurable and verifiable reduction in energy usage (kWh).

Must produce energy savings through an increase in energy efficiency.

Must be cost effective as defined by the Program Utility and the Program Implementer.

New equipment must exceed minimum current equipment efficiency standards (standards are defined by the
current version of the Arkansas Technical Resource Manual and are available upon request).

Must not develop any savings as a result of fuel switching.
The incentive rates for this program have been designed to encourage comprehensive projects at each location through a
tiered incentive approach. The tiered incentive approach will be used to provide additional incentives for multiple
measures at each location in order to steer away from the frequency of single measure installations. In order for a measure
to be eligible to escalate a project incentive, it must meet the requirements as listed above. Additional rules for measures
and tiered incentives are:
1.
If an energy efficiency measure is installed at a single facility or at multiple facilities for the same participant,
then that measure is still considered a single measure.
2. An energy efficiency measure must exceed 20,000 kWh to qualify for an additional tier of incentives.
3. If multiple measures are eligible for incentives, but they do not meet the minimum requirement of 20,000 kWh
annual savings to qualify as “tier eligible,” they can be grouped together to qualify as a single measure in order
to qualify the project for an additional tier of incentive as long as the total of the individual measures add up to
more than the 20,000 kWh minimum. Note that only one such grouping is allowed per project.
If, during past program years, the participant completed projects that could qualify for tiered incentives, these projects
can be counted towards receiving tiered incentives rates with new measures (as noted in the “Program Changes” section of
this document). Previously completed projects cannot be paid additional incentives, but can qualify new projects
completed in the program for additional tiers of incentives.
Because budgeting requirements may limit participants from completing multiple measures in the same program year,
they shall be allowed to complete measures across multiple program years and still qualify for the tiered incentive
rates. However, the incentives will be paid at the incentive rates for each measure that is completed within that program
year and will be given credit for completed measures in subsequent years (as listed above). Note that excess incentives
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developed by projects that cap at 75 percent of the project cost only carry forward to the end of the program year and
cannot be carried forward to subsequent program years.
No one participant designated by an individual Federal Tax ID may receive over 50 percent of the annual incentive
budget. The incentive rates are listed in the table below. These rates are set at levels that are intended to persist through
2013. Note that prescriptive measures are eligible to receive incentives through this program, but are incentivized at a
lower incentive rate than the prescriptive program unless included as a part of a substantially comprehensive project.
In the event that there are incentive funds still available after August 1 of the current program year, a participant may
exceed the 50 percent cap in order to fully subscribe the program upon approval by the program implementor.
Figure 1: Incentive Rates
Incentive Rate per kWh (Based on Number of Qualifying Measures Installed)
Measure Type*
1
2
3
4
5
6+
Prescriptive Measures
$0.15
$0.15
$0.15
$0.16
$0.17
$0.18
All Other (Custom) Measures
$0.15
$0.16
$0.17
$0.19
$0.21
$0.23
*Note that no project will be provided incentives that exceed 75 percent of the sum of the incremental measure costs.
The table above provides the currently applicable incentives rates and the hypothetical examples below illustrate how the
tiered incentive levels will work in the Large C&I Program.
Example 1) A participant has identified five energy efficiency measures that they plan to install: three prescriptive
measures and two other (custom) measures. If the participant installs all five measures in one program year, he or she will
receive incentive rates of $0.17/kWh for the prescriptive measures and $0.21/ kWh for the custom projects once all the
projects are installed (based on five qualifying measures).
Example 2) A participant identifies five energy measures that they plan to install: three prescriptive measures and two
custom measures. However, due to budget constraints or equipment delivery, the participant chooses to install the three
prescriptive measures during the current program year and the two other measures in the next program year. The
incentives will be $0.15/ kWh for the prescriptive measures in the current program year and $0.21 / kWh for the other
measures in the next program year (based on five qualifying measures, three from year one and two from year two).
Example 3) A Participant identifies four energy efficiency measures they plan to install: two prescriptive measures and two
custom measures. However, due to budget constraints or equipment delivery, the participant chooses to install the two
prescriptive measures during the current program year and the two custom measures in the next program year. Also during
the next program year, the participant installs two additional prescriptive measures. The incentive rates will be as follows:
1. $0.15 / kWh for year one (two prescriptive measures)
2. $0.23 / kWh for the other measures (based on six qualifying measures overall)
3. $0.18 / kWh for the additional prescriptive measures in year two (six measures overall)
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Project Example
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Co-Funding of Feasibility Studies
The program also will provide assistance to qualifying customers by co-funding feasibility studies for energy efficiency
projects. A feasibility study is a comprehensive energy savings evaluation and financial analysis which can provide a
participant with a cost-effective method for identifying potential energy savings associated with the installation of
complex measures and processes, where basic evaluation methods are not adequate. These studies evaluate the
participant’s opportunities for energy savings at their facility using collected data, logged data, calculation methodologies
and/or computer-simulated energy models. However, it is understood that the entire cost of these feasibility studies may
not be within the budget of the participant. The program has allocated $300,000 of the incentive funds available in the
2014 program year to provide assistance to participants who wish to obtain these studies.
To qualify for co-funding of a feasibility study, a proposed study must have an estimated savings based on preliminary
data and calculations that exceed 250,000 kWh. The funding reserved for these projects in the 2014 program year will be
allocated to participants on a first-come, first served basis. Requests for funding will be handled in the same way as
project applications in the case of oversubscription (see the “Wait List Procedure” section of this document). In the event
that the funds reserved for feasibility studies are not used by September 1 of the program year, these funds may be
released back into the general incentive funds for projects completed that program year.
To request funding assistance, a participant needs to enroll in the program and submit the enrollment document, as well as
the proposal from the consultant preparing the study. The submission must also include a letter from the participant
stating the request for feasibility study co-funding and how the participant is positioned to fund and complete any
potential projects determined to be cost-effective energy efficiency measures by the feasibility study. The submission
should include any pertinent background data, preliminary estimates and calculations, the feasibility study cost and a list
of the expected deliverables to the participant.
After review, if the feasibility study is selected for co-funding by the program implementer, the participant will be
informed of the selection of the project and the co-funding amount being provided to assist the participant with the study.
The program will review the funding for the feasibility study on a case-by-case basis, but it is typically targeted to cover
50 percent of the cost of the study. The co-funding will be paid to the participant upon the completion of the study and the
submission of the completed report to the program implementer. If the owner moves forward with the cost-effective
recommended projects that were outlined within the feasibility study, and the savings of those projects are expected to
exceed 250,000 kWh of energy savings within the program, then the program will pay an additional 50 percent of the
feasibility cost as an additional incentive when the projects are completed and final project incentives are paid. The
maximum co-funding incentive amount for any participant in the 2014 program year is $25,000.
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Measure List
Figure 2: Measures Table
Measure Type*
Measure Description
Improved Building Design
(New Construction Only)
Incentives are issued if a building exceeds the required energy codes. Measures will be incentivized as a part of the
individual measure type (lighting, lighting controls, HVAC, etc.) as listed below for the purposes of qualifying for
tiered incentives, and are not separate measures from retrofits of similar technology. For instance, if a participant
is installing a lighting retrofit at one facility and is building a new facility with a qualifying lighting project, all of
the lighting measures are considered one lighting measure for the purposes of calculating tiered incentives.
Lighting Retrofit
Lighting retrofit projects replace existing lighting systems with more efficient lighting systems. A variety of high
efficiency fixtures, ballasts and lamps consume less energy while producing light levels that are equivalent to
those produced by previous technologies. For instance, a facility supervisor who wants to reduce energy
consumption while maintaining lighting quality can replace his or her T12 fluorescent lamps and magnetic ballasts
with more efficient lighting systems such as T8 fluorescent lamps with electronic ballasts. Metal halides may be
replaced with systems such as T5 fluorescent lamps with electronic ballasts or compact fluorescents. There are a
variety of lamp and ballast combinations that are eligible for this program depending on the current technology
installed at a facility.
Lighting Controls
Automatic lighting controls save energy by turning off or dimming lights when they are not necessary. Many
different varieties of sensors are available including passive infrared (PIR), dual-technology, integral occupancy
sensors, and photocells. These sensors can be coupled with a variety of control strategies including day lighting
controls, occupancy controls, timer controls and time clocks. In certain conditions, light reduction and automatic
controls are mandatory for new construction and affected retrofit projects.
Exterior Lighting
Energy saving opportunities exist for all major exterior lighting applications including parking lots, streets,
roadways and other building-mounted exterior lighting. Energy saving opportunities include both improved
lighting performance and enhanced control strategies. For example, retrofitting less efficient HID technologies
with LED lighting and occupancy-based technology are good candidates for exterior applications.
Window Film
Specialized window film can help block solar heat gain in a facility and reduce cooling loads. For this program,
window film is only eligible for incentives when applied to the inside of glazing on the east and west windows of
commercial buildings. Windows must not be shaded with existing awnings or shading devices, and window film
must be installed in space conditioned by refrigerated air conditioning to qualify in the program.
HVAC Replacement
For existing buildings and new construction, inefficient (non-ENERGY STAR) heat pumps and air conditioning units
are eligible to be replaced with ENERGY STAR units. Eligible units for replacement include small split-system and
single-package air conditioners and heat pumps.
Chiller Replacement
Chillers are commonly used to provide cooling for a variety of building types and process loads. The most common
applications are for larger cooling loads (e.g., 50 to 100 tons or greater). This measure applies to the replacement
of air-cooled and water-cooled chillers with more energy efficient chillers.
HVAC Controls
HVAC controls are eligible for this program when no other controls previously exist or where existing controls can
be modified or improved to provide measurable energy savings. Controls can be installed on building HVAC
systems or central plant equipment to help achieve more effective use of the HVAC system by controlling common
operating parameters such as temperature, humidity, chilled water temperature, ventilation, etc.
Motor Replacement
Motor energy makes up a large portion of the energy that commercial and industrial facilities consume. This
measure applies to the early retirement of operable (but inefficient) motors as well as the purchase of new motors
that exceed EPAct standards. New motors must exceed minimum performance requirements; a list of eligible
efficiencies by motor horsepower is available.
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Figure 2: Measures Table
Measure Type*
Measure Description
VFD Motor Drives
A Variable Frequency Drive (VFD) controls the rotational speed of an electric motor by controlling the frequency of
the electrical power supplied to the motor. VFDs allow for soft starts and can be optimized to better match system
loads, reducing stress and improving motor life. VFDs work well when used with systems that have motors that can
operate at lower speeds. The installation of VFDs that show measurable energy savings are eligible under the
program. This measure applies as a separate measure (i.e., tier eligible) to the installation of VFDs on all retrofit
projects and on new construction projects (where VFDs are not required by current energy codes). This includes
commercial HVAC (air/water systems), chillers, fans, process motors, air compressors, etc.
Data Center Upgrades
Data center upgrades that qualify for EAI programs include controls retrofits, cooling upgrades, hot/cold aisle
containment and server virtualization. Any combination of these measures will greatly increase the energy
efficiency of data centers or server rooms.
Commercial Refrigeration
There are a number of refrigeration measures that are eligible for upgrades or replacement:
 Evaporator fan upgrades to EC motors.
 Anti-sweat heater controls.
 Other upgrades to commercial refrigeration systems (ammonia system upgrades and controls, defrost
controls, pressure controls or adjustments, etc.).
Commercial Kitchen
Upgrades
There are a number of kitchen and plumbing measures that are eligible for upgrades or replacement:
Direct Install*
There are a number of measures installed by the program or trade allies in the program that are 100 percent paid by
the program incentives. These include:











Energy efficient dishwashers.
High efficiency electric combination ovens.
High efficiency fryers.
ENERGY STAR insulated holding cabinets.
ENERGY STAR steam cookers.
Demand-controlled kitchen ventilation hood controls.
Low-flow faucet aerators.
Low-flow pre-rinse spray valves.
Occupancy-controlled vending machine controls (cold drink machines only).
Compact fluorescent lamps (in specific applications, ask your program representative).
Personal computer power Management software systems (requires minimal or no power management system
in place, ask your program representative if you qualify).
Compressed Air Upgrades
Compressed air retrofits are ideal when there are significant air leaks, when compressors run at less than full
capacity, when compressors are run in modulation mode, when discharge pressure is greater than 110 psig, or when
compressed air is used for tasks that do not require high pressure. Installation of new air compressor equipment
and controls is eligible under this program provided that the savings can be measured and verified. This measure
also includes compressed air nozzle installation on systems with open blow uses that would function equally well
with a nozzle engineered for reduced flow.
Industrial Process
Improvements
Process improvements in commercial and industrial facilities can provide electrical energy savings as well as
increased production. Installation of new, cost-effective process equipment and modifications to sequences and
controls in existing processes are both eligible measures for review and acceptance under the program.
Energy efficiency measures not specifically listed in the table above may be eligible under this program. Measures not
specifically listed can be evaluated on a case-by-case basis and are subject to approval by the program implementer.
*These measures are available as direct-install measures. Program implementation staff will install this equipment at no
cost to the participant as an incentive for this measure.
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Incentive Basis
Financial incentives that may be available to a participant through the program will be based on a total annual kWh
reduction. Savings will be estimated using one of several savings approaches. The participant will still need to select a
trade ally (or other service provider) to actually implement the measure. The program will select and implement an
appropriate savings measurement and verification plan (including installing field monitoring equipment where
applicable). Participants may also submit suggested measures, along with a suggested M&V approach. As long as the
approach includes adequate calculations and/or monitoring to justify savings (as determined by the program
implementer) the measures will be considered for eligibility to receive incentives under this program.
Deemed or Stipulated Savings: Deemed savings are standardized savings values or simple formulas for a range of measures
in representative building types. This approach is suitable for a variety of projects where energy savings may be estimated
to a reasonable degree of accuracy without additional M&V. Variables such as operating hours and energy consumption of
existing equipment are assumed in these cases according to previously gathered field data. For example, lighting installed
by the program qualifies for a deemed savings approach, meaning that estimated energy consumption savings are
determined without additional testing. Engineered savings calculations may be acceptable on a case-by-case basis
subject to program approval.
M&V Option A (“Retrofit Isolation: Key Parameter Measurement”): For an option A project, the main aspect that affects
energy use is measured, usually with data logging equipment. Example: pump VFD installation.
M&V Option B (“Retrofit Isolation: All Parameter Measurement”): For an option B project, all aspects that affect energy use
are measured. Typically, the actual energy use of the system is logged. All parameters that affect energy use, such as
temperature of an HVAC system or occupancy, must be measured. A project where installed equipment will have substantial
interactive affects may require the use of this M&V option.
M&V Option C (“Whole Facility: Bill Analysis”): When savings are expected to be more than 10 percent of the whole
building’s energy use, option C can be used. This option involves collecting at least a year’s worth of utility bills or submeter data for a facility. Example: Retrocommissioning of a facility, involving numerous operational and control changes
that have complex interactions.
M&V Option D (“Whole Facility: Calibrated Simulation”)”: Option D is for new construction or major retrofits. Instead of
measuring energy use, the facility is modeled with building modeling software like eQUEST. Example: a new construction
project involving numerous efficiency improvements that have complex interactions.
The methodologies for savings measurement and verification described above differ in terms of detail and rigor; some are
chosen based upon the predictability of equipment operation, availability of evaluation data from previous programs, and
benefits of the chosen measurement and verification approach relative to its cost. Ultimately, the program implementer
has the discretion to choose or confirm the M&V option that shall be utilized for the participant’s project(s).
Non-Cash Benefits Offered Under the Program
A number of non-cash benefits are available to participants. These benefits are listed below and will be offered to
participants whose could use them to meet their energy efficiency goals. Please contact program staff if you are interested
in receiving additional benefits that have not been directly offered to you by program staff.
Energy Performance Benchmarking: During this process, the program implementer benchmarks the participant’s current
energy using the U.S. EPA’s ENERGY STAR® Portfolio Manager® tool. This tool provides a rating for the performance of
buildings on a scale of one to 100 relative to similar buildings. Other benchmarking metrics include cost per occupant, cost
per square foot, etc.
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Technical Support: The program implementer can provide technical support to help participants assess and evaluate
various energy efficiency upgrades in order to determine which projects are estimated to be optimal in terms of lifecycle
costs. Once customers identify potential projects, the Participants complete and submit a Project Application to indicate
their intention to complete a project and reserve an incentive. The Program Implementer will provide the application form
as well as assistance in completing the form.
Education: This includes education about the program, technologies and funding. If the participants choose to fund their
upgrades with traditional funding sources, the program also offers resources designed to educate senior decision makers
on how to leverage outside sources of funds through performance contracts, lease-purchase agreements and third-party
financing. The program also stays up to date on local educational opportunities for energy efficiency and will communicate
these to participants upon request.
Recognition: The program implementer can provide news release writing and other communications support to the
participant. These services are designed to inform each community about the steps that the participant is taking to
improve the energy performance of their facilities, reduce their operating costs, and use their budget dollars more
efficiently. Case studies will also be developed to assist program staff and trade allies with showing the value and benefits
of energy efficiency projects. The program may provide participants with copies of case studies performed at other
locations. The program can also provide you with a copy of a case study done at your facility to allow for recognition within
your company or for your customers to understand how you are investing in energy efficiency.
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PARTICIPATION PROCESS
This program is designed to promote trade ally references as well as participation by EAI’s key customers and by past
program participants.
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

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First, a potential participant must complete the participation agreement that is provided by the program
implementer.
Once the participant completes the agreement and returns it to the program implementer, the program
implementer will verify the participant’s utility account and will contact the participant to schedule a preinstallation inspection.
Pre- and post-installation inspections will be performed on a case-by-case basis for each project, and
appropriate measurement and verification efforts will occur to quantify the savings of projects where M&V is
required.
After completing the project and receiving incentives, a program evaluator may contact the participant to verify
information gathered by the program and/or to review on-site equipment installation.
Project Requirements and Constraints
For purposes of this program, a project is defined by a set of proposed energy savings measures included in a single
project application. Projects that include multiple measure types are encouraged. Note that the participant first must
execute the participation agreement to initiate the process. Ultimately, a project application will be completed by the
program implementer, and sent to the participant for review and approval. The project application is completed and
executed by the participant, and sent back to the program implementer for final approval and reservation of incentive
funding.
All projects must meet the following requirements:
Project Costs Benefit Analysis: Prescriptive measures have been evaluated for cost effectiveness in the development of the
measures. Custom measures must pass a cost-effectiveness test in order to be eligible for incentives. In order to evaluate
this, all project costs must be submitted to the program implementer before incentive funding can be reserved. This
includes the estimated cost of the equipment and its installation.
Measurement and Verification: Prescriptive measures do not require measurement and verification except in specific
circumstances. Custom measures may require measurement which can involve the placement of logging equipment at the
participant’s facility. The participant must agree to allow program staff to deploy logging equipment and collect data as
required to measure and verify savings for these measures. The program is not intended to be invasive and measurement
plans will be developed with an effort to minimize the impact upon the participant.
Incentive Reservation/Application Process
Upon receipt of a signed project application, the program implementer will review the application for completeness and
eligibility, and then send notice through electronic mail to notify the participant that incentive funding has been reserved
for the project(s). If an inspection has not already been performed, the program implementer will also contact the
participant to schedule a pre-installation inspection of the participant’s facilities for the purposes of confirming that the
information that is submitted in the project application. The anticipated project completion date should be communicated
to the program implementer. The participant should bear in mind that incentive payment cannot be processed until the
completed project has been inspected. The completion date of a project should not extend beyond November 30 of the
current program year unless approved in writing by the program implementer.
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If oversubscription to the program should arise, participants will be placed on a waiting list, in the order of when the
project application, including the executed participation agreement, was received. Participants on the waiting list may be
able to reserve incentive funding for the current program year if projects are cancelled and funds become available.
Otherwise, they will be eligible to reserve funding during the next program year, but note that the project must be
completed in the year in which the funds are reserved.
Incentive Payment Process
Prescriptive Measures: If the post-installation inspection passes, the program implementer will document the project,
process the incentive payment and then send payment to the participant. For prescriptive measures, the participant will
receive an incentive payment representing 100 percent of the final calculated incentive amount. If the project does not
pass post-installation inspection, new savings and incentive funds calculations will be made and the participant will be
notified via e-mail. If the savings were decreased due to differences in the installation and the work prescribed in the
project application form, the participant will be given the opportunity to alter the installation. If the participant wishes to
alter the installation, the remaining original incentive funds are still reserved and the participant will alter the installation
and contact the program implementer to schedule another post-installation inspection. If the participant does not wish to
make changes to the installation, the remaining of the unpaid reserved funds will be forfeited.
Alternatively, if after the post installation inspection, differences between the installation and the project application
caused an increased savings, the participant will be notified of the new savings and incentive amount via email. The
participant will be eligible for additional funds in excess of the original project application only if the funds are available
(if the program budget is not fully subscribed). Participants and trade allies are advised to contact the program
implementer to determine whether additional funds are available prior to approving the installation of measures that are
not identified in your project application. Incentives are paid by check directly to the participant unless incentive
assignment has been executed in writing to the program implementer, as explained above.
M&V (Custom) Measures: If the custom measure(s) pass post-installation inspection, the program implementer will
document the project and process an installation incentive payment equal to 40 percent of the total estimated incentive
amount set forth in the confirmed project application or 40 percent of the installation cost in cases where the incentive
amount for the completed measure exceeds the project cost. If the custom project does not pass post-installation
inspection, new savings estimates and incentive funds calculations will be made and the participant will be notified via
email documenting the post-inspection results and the potential increase or decrease in the estimated incentive.
Increases in reserved funds will only be made if incentive funds are still available within the program budget. Incentive
reservation within the program will be altered based on these estimates upon confirmation from the participant.
The remaining incentive for custom measures will be calculated based on the final M&V report, and will be paid once the
M&V efforts are complete. To the extent that additional measures are installed that were not identified in the application
and confirmed by the pre-installation inspection, the participant may be eligible for additional incentive funds (as
mentioned above). Participants are encouraged to contact the program implementer prior to installation of such additional
measures to determine whether additional funds may be available. Incentive funds in excess of the estimated amount will
be paid based on final calculated savings only if the program is not fully subscribed at the time of project completion.
Incentives are paid by check directly to the participant unless incentive assignment has been executed in writing to the
program implementer, as explained above.
Limits on Participation
To ensure that incentives are available for multiple projects, no participant and its affiliates may receive more than 50
percent of EAI’s program incentives budget in any funding year. In the event that there are incentive funds still available
after August 1st of the current program year, participants may exceed the 50 percent cap in order to fully subscribe the
program.
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Independent Evaluation
Program metrics are subject to annual review based on regulatory requirements, independent evaluation and verification,
and other circumstances outside the control of the program, the program implementer and EAI. Reporting requirements
and other documentation could change based upon this review.
After completing the project and receiving incentives, an independent evaluator may contact you to verify information
gathered by the program and/or to review on-site equipment installation. An independent third party evaluator may
contact you immediately following the year of participation for the purposes of EM&V.
See the figure below for more details on the program process, which does not include the third-party EM&V discussed
above.
C&I Custom Program Process
Project Identification
Trade Ally
Assists Participant in
identifying projects and notifies
CLEAResult of potential
projects
Participant
Identifies project during preinstallation inspection
CLEAResult
Assists Participant in
identifying projects and
develops summary of energy
and financial benefits
(Conducts Benchmarking as
needed)
Project Application
Identifies project funding
Submits signed Project
Application Form
Reserves incentives for
approved projects
Project Completion
Notice
Installation
Pre-Installation
Inspection
Initiates M&V plan (where
applicable)
Notifies participant of preinstallation inspection approval
Installs project measures
Initiates retrofit, renovation, or
construction
Notifies CLEAResult when
construction is complete
Notifies CLEAResult of any
changes made to project scope
or timeline
Works with CLEAResult to
complete post-project
documentation
Completes/Reviews
documentation for accuracy
Schedules/Conducts postinstallation inspection
Post-Installation
Inspection
Incentive
Payments
Reviews Project Application
Form
Concludes M&V (where
applicable)
Quantifies savings estimates/
incentive payment
Receives incentive check
Processes incentive check
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QUALITY MANAGEMENT SYSTEM
Quality Assurance
Program Process Trainings (QA)
Trade allies who choose to participate in the program will attend training
that explains the program process and technical aspects of participation. In
cases when the participant chooses to engage a contractor who does not
participate in the program as a trade ally, the program implementer will
work with the participant in order to ensure that all steps are taken to
receive an incentive.
Application Review (QA)
Incomplete project applications will be rejected and sent back to the
participant for completion. The participant will not receive a reservation of
incentive funding notice until the project application is completed
appropriately and confirmed (through e-mail) by the program
implementer.
Quality Control
Pre and Post-Installation Inspections
(QC)
Proposed and completed projects will be subject to an inspection as
selected on a random sample basis. Typically, this random sample consists
of inspecting a representative sample (20 percent or more) of the
qualifying measure(s). If your project fails its inspection, additional
inspections may be conducted in an attempt to determine whether there is
reasonable assurance that the project has been documented and that the
actual savings can be verified. In connection with any such inspections,
adjustments to the project application may be proposed for the participant
to verify and respond to the program implementer (usually via
email). Depending on the discrepancies found, the incentive amount might
increase or decrease subject to the limitation described above.
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ADDITIONAL NOTICES AND DISCLAIMERS
Entergy Arkansas, Inc. and/or CLEAResult
The selection of a participating contractor to perform work is the sole decision of the property owner, customer, and/or
authorized lessee/occupant. Although a list of approved contractors is prepared in connection with this program, inclusion
of a contractor in the participating contractor list for the program does not constitute an endorsement by Entergy
Arkansas, Inc., or CLEAResult of any product, individual, or company. Work performed by participating contractors is not
guaranteed or subject to any representation or warranty, either expressed or implied or otherwise, by either Entergy
Arkansas, Inc. or CLEAResult. Neither Entergy Arkansas, Inc. nor CLEAResult makes any guarantee or any other
representation or warranty expressed or implied or otherwise, as to the quality, cost, or effectiveness of any product(s)
provided or work(s) performed by any participating contractor, by any such participating contractor’s employees,
subcontractors or suppliers.
Energy efficiency gains are subject to a number of variable conditions and circumstances. While it is not the intent of the
program to achieve energy efficiencies at the participant’s facilities, Entergy Arkansas, Inc. nor CLEAResult guarantees or
warrants that any specific energy efficiency gains will be achieved for a particular customer under the program.
Participating Trade Allies
Each participating trade ally shall, to the fullest extent allowed by applicable law, indemnify, protect and hold harmless
CLEAResult, Entergy Arkansas, Inc., their affiliates, their contractors and each of their officers, directors, control persons,
employees, agents and representatives (all of the foregoing being herein referred to, individually and collectively, as the
“Indemnities”) from and against any and all losses, damages, claims, liabilities, costs and expenses (including attorney’s
fees) that may be imposed on, incurred by, or asserted against the indemnities or any of them by any party or parties
(including, without limitation, a governmental entity), caused by, arising from, relating to or in connection with, in whole
or in part, directly or indirectly: (a) such participating trade ally’s breach of any provision of its trade ally agreement (b)
such participating trade ally’s act or omission that results directly or indirectly in any property damage, personal injury or
death in connection with the performance of any work by such participating trade ally, (c) any violation of law by such
participating trade ally or (d) the treatment, storage, disposal, handling, transportation, release, spillage or leakage by
such participating trade ally of any hazardous substance in any form. THIS INDEMNITY SHALL APPLY EVEN IN THE EVENT OF
THE CONCURRENT NEGLIGENCE, ACTIVE OR PASSIVE, OF ANY OR ALL INDEMNITEES. Indemnities, respectively, at their option
exercisable by written notice to such participating trade ally, may require such participating trade ally to defend any or all
suits or claims concerning the foregoing.
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DEFINITIONS
Custom Measure: An energy efficiency measure that does not have a prescriptive calculation methodology. This type of
measure requires measurement and verification to accurately quantify demand and energy savings.
EAI: Entergy Arkansas, Inc.
EE: Energy efficiency.
EM&V: Evaluation, measurement and verification (often referred to as measurement and verification, or M&V).
Energy Master Planning: The process of reviewing energy performance benchmarking reports and establishing a strategic
approach to the effective use of energy, which may include the implementation of energy efficiency measures.
Energy Performance Benchmarking: A comprehensive analysis of facility energy use which provides a rating for the
performance of buildings (typically on a scale of 1 to 100) relative to a peer group of facilities using regional data. This
evaluation may be used to identify energy efficiency measures or can be used as a tool for energy master planning.
Facility Assessment: A preliminary facility walkthrough performed by program staff or a trade ally in order to determine
energy savings opportunities. An assessment does not necessarily provide adequate inspection documentation and
additional on-site verification may be required for identified energy efficiency projects.
Feasibility Study: A comprehensive energy savings evaluation and lifecycle cost analysis (prepared by a licensed engineer
or other professional) that evaluates the participant’s opportunities for energy savings at their facility using established
calculation methodologies and computer-simulated energy models.
Incentive: A one-time payment to the participant (or a designated assignee) for energy efficiency projects completed
through the program.
Incentive Rate: A defined value of incentive dollars on a per-unit basis to calculate total incentive.
kW: The abbreviation for kilowatt (equal to 1,000 watts), which is the unit of measurement for electrical demand or power.
kWh: The abbreviation for kilowatt-hour, which is the unit of measurement for electrical energy use. One kWh is the
amount of energy consumed by the use of one kW for one hour.
Measure: Also known as an energy efficiency measure or EEM, this is a single proposed energy efficiency improvement, at
either a single facility or multiple facilities.
Measurement and Verification: A process of observation and measurements that establishes energy use of a proposed
energy efficiency measure for both pre-retrofit and post-retrofit conditions and allows the calculation of energy savings.
This process may also require gathering data on correlating factors for a specific system or facility, such as production,
occupancy, operating hours or similar metrics.
Participant: Any non-residential Entergy Arkansas, Inc. customer that has enrolled in the energy efficiency programs and
who will exert best efforts to approve, fund and install projects during the program year.
Participation Agreement: A non-binding document that, once submitted, will enroll the participant into the Large
Commercial & Industrial Program offered by Entergy Arkansas, Inc., allow program staff to verify eligibility and permit
appropriate program follow-up.
Pre-Installation Inspection: A facility walkthrough performed by program staff prior to implementation of energy
efficiency projects in order to verify and document proposed or identified energy efficiency upgrades within a
participant’s facility.
Prescriptive Measure: An energy efficiency measure that has a prescriptive calculation methodology, given in the Arkansas
TRM (Technical Resource Manual). This type of measure does not require measurement and verification.
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Post-Installation Inspection: A facility walkthrough performed by program staff or program evaluators after
implementation of energy efficiency projects to verify and document proposed or identified energy efficiency upgrades
within a participant’s facility.
Program Evaluator: An independent party that reviews the documentation and calculations completed by the program
implementer and provides technical guidance on the program.
Program Implementer: Technical and administrative consultants hired by the program sponsor to operate the energy
efficiency programs.
Program Sponsor: The utility funding and operating the energy efficiency program.
Project: A planned set of energy efficiency measures for a single participant (at either a single facility or multiple
facilities) as proposed by program staff or a trade ally.
Project Application: A document provided by the program implementer and executed by the participant that outlines the
proposed energy efficiency measures, the estimated savings and project incentive. Acknowledged receipt of this form by
the program implementer will reserve the listed incentive for the participant.
Tier: A unique measure (or combination of measures) that, when evaluated for an energy efficiency project, may provide
enhanced incentive rates for comprehensive projects.
Trade Ally: A contractor, supplier or industry professional seeking to adapt his or her business model to utilize energy
efficiency programs in order to promote the implementation of energy efficiency measures.
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FREQUENTLY ASKED QUESTIONS (FAQS)
What is the Large C&I Program?
The Large C&I Program is designed for commercial and industrial customers that receive retail electric service from EAI. The
program is designed to help senior managers and facility managers operate their buildings more efficiently by
understanding the technical and financial benefits of investing in energy efficiency and developing a plan to make energy
efficiency improvements.
Who is eligible for the Large C&I Program?
Any commercial and industrial customer with a peak connected load of 100 kW or greater receiving retail electric service
from EAI is eligible for the Large C&I Program. A customer is defined by a single Tax ID number. Multiple locations of an
organization are thereby considered a single customer, regardless of how many EAI account numbers they may have.
How does a customer enroll to participate in the program?
To join the Large C&I Program, the participant submits an executed participation agreement to the program implementer.
The participation agreement describes the commitments to be made by the participant, which includes agreement to the
conditions and processes set forth in this program manual. The program implementer will contact participants who submit
the participation agreement to provide the participant with details about program participation, benefits and requirements
that need to be met in order to begin the program process.
What are the next steps after enrollment in the program?
After the participant has joined the program by submitting a properly executed participation agreement, the program
implementer will work with the participant to determine whether non-cash benefits (e.g., benchmarking) or assessment of
energy efficiency upgrades is the next logical step for that participant.
Who decides what energy efficiency technologies to install or who is to install them?
The participants are the sole determinant for what energy efficiency measures they decide to implement and how they are
implemented. The program does not provide any installation of energy efficiency measures and is neutral on whether the
participant performs the work in-house or uses a trade ally.
What is energy benchmarking?
Benchmarking the energy performance of the participants is done through the use of US EPA’s Portfolio Manager Tool.
Information is entered into the tool along with the energy use of the facility, where the facilities are located
geographically, the number of occupants in the building and some information about certain types of equipment within the
facilities. Once this information is completed and submitted as inputs to the tool, the output is a numerical score from one
to 100. The higher the benchmark score, the better the energy performance. Conversely, the lower the benchmarking score
means that there is a lower level of energy performance. After the scores are estimated, participants in the program can
work with the program implementer to determine the energy efficiency opportunities in their facilities and to prioritize
their efforts.
How are the energy efficiency opportunities determined?
Program staff will perform an assessment of the participant’s facility to determine areas of need and will work with the
participant to define the best energy efficiency options. Once the areas of need are identified, the program works with the
participant (or the participant’s trade ally) to find the right resources to assist the participant.
How much time should participants expect to invest in the program?
We expect participants to spend 16-24 hours on program functions over the course of a year. It has been our experience
that the amount of time participants are engaged in the program is directly related to the overall benefit participants
realize. The bottom line is that it is up to the individual participant to determine the amount of time to invest based on the
results they expect to achieve.
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What are the incentives?
Non-cash benefits, such as energy measure identification, calculations, and measurement and verification of completed
projects are available to program participants. Cash incentives for eligible energy efficiency measures are based on (kWh)
energy reductions, and are listed previously in this document.
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APPENDICES
Appendix A
Participation Agreement
Appendix B
Project Application
Appendix C
Trade Ally Agreement
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Appendix A: Participation Agreement
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Appendix B: Project Application
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Appendix C: Trade Ally Agreement
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